They say two heads are better than one – and in insurance circles it appears that there can be serious rewards to combining forces.
Now, in an effort to boost their propositions in specialty lines, Ryan Specialty Group has teamed up with Nationwide, expanding an already strong relationship, with a joint venture that creates a new reinsurance company, Geneva Re Ltd. (Geneva Re), which will be based in Bermuda.
It is expected that the new entity will begin underwriting business from July 01 this year, subject to regulatory approval. It will have the financial strength to accept a wide portfolio of reinsurance business from RSG underwriting programs.
“We are proud and excited to partner with Nationwide, a world-class financial institution whose financial ratings and performance are unquestionable,” said Patrick G. Ryan, founder, chairman and CEO of RSG. “We also share a similar culture, which is critical to entering into a long-term relationship.
“It has been our goal since RSG’s formation to more fully align our interest with our clients. Through Geneva Re, we will be able to accomplish this objective.”
Under the terms of the deal, Nationwide will own 50% and RSG and RSG-related investors will hold the remaining 50%, with Michael D. O’Halleran moving into the role of executive chairman of Geneva Re, and Ryan Re, an RSG affiliate, acting as its exclusive underwriting manager. Nationwide will also appoint Ryan Re as its exclusive underwriting manager for third-party property and casualty treaty reinsurance business flowing through Geneva Re.